The End of Tipping & 3 Reasons Entrepreneurs Shouldn’t Fear Trying Something New

Danny Meyer, CEO of the Union Square Hospitality Group (USHG) just announced that he is eliminating the practice of tipping at his 13 popular restaurants starting next year. The move would affect more than 1800 workers by raising their wages for both front of house staff like servers as well as for kitchen staff like cooks. To accomplish this Meyer will increase the prices of his menu offerings in all his restaurants leaving diners to pay one inclusive price when they eat Grammercy Tavern, Union Square Café and his other 11 popular spots.

Risky? Perhaps, but Meyer is working to stay competitive in a marketplace that will see minimum wages rise to $15 per hour for fast food workers over the next three years. He can’t afford to lose quality kitchen and wait staff to fast food chains. Meyer has also been a living wage advocate for years, calling for the end of tipping in a company newsletter back in 1994.

Time will tell if fine diners accept this more European style of paying for their dining out experience, but bravo to Meyer for stepping up and trying something new rather than waiting until change was upon him. Going against the tide of tradition can be a scary act, but you can’t let yourself be paralyzed by fear when your livelihood is on the line.

Here are 3 reasons why entrepreneurs should never fear trying something new when it comes to their business:

Change Leaders Have Power

People who decide early to get ahead of policy changes have the power to help determine how those changes get implemented. You can become an leader for your team, employees and or industry by being willing to step out in front and be an advocate for a new way of doing things.

Being Forced to Change is Awful

No one wants new policies to be forced on their company and upend their mission and values. If you let this happen to you; you will feel awful. Instead of fighting the changes, get in front them and work to determine the best way to implement them in your company and industry. Changes can feel like positive advancements if you are out in front of them.

Failure Can Be an Invaluable Experience

Change rarely happens smoothly. There are stops and blowouts and plenty of lessons to be learned along the way. But with each hiccup or momentary failure you get to refine the steps on the road forward; giving you specialized expertise that those around you will value and seek out. People learn so much from failing and having to quickly adapt and you can use that knowledge to position yourself and company as an industry expert.